Slides
Page 1
PROVEN 3Q 26 Earnings Presentation • May 7, 2026 November 5, 2026
Page 2
PROVEN The information contained in this document (the "Presentation") has been prepared by Diversified Energy Company (NYSE: DEC, LSE: DEC) (“Diversified” or the "Company”). This Presentation is for general information purposes only and does not constitute an invitation or inducement to any person to engage in investment activity. While the information contained herein has been prepared in good faith, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers give, have given or have authority to give, any representations or warranties (express or implied) as to, or in relation to, the accuracy, reliability or completeness of the information in this Presentation, or any revision thereof, or of any other written or oral information made or to be made available to any interested party or its advisers (all such information being referred to as "Information") and liability therefore is expressly disclaimed. Accordingly, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers take any responsibility for, or will accept any liability whether direct or indirect, express or implied, contractual, tortious, statutory or otherwise, in respect of the accuracy or completeness of the Information, or for any of the opinions contained herein, or for any errors, omissions or misstatements, or for any loss, howsoever arising, from the use of this Presentation. This Presentation contains forward-looking statements (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995) concerning the financial condition, results of operations and business of the Company and its wholly owned subsidiaries. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. These forward-looking statements, which contain the words "anticipate", "believe", "intend", "estimate", "expect", "may", "will", "seek", "continue", "aim", "target", "projected", "plan", "goal", “outlook”, "achieve" and words of similar meaning, including statements regarding anticipated development activities, future production, reserves, cash flows, or EBITDA, reflect the Company's beliefs and expectations and are based on numerous assumptions regarding the Company's present and future business strategies and the environment the Company will operate in and are subject to risks and uncertainties that may cause actual results to differ materially. No representation is made that any of these statements or forecasts will come to pass or that any forecast results will be achieved. Forward-looking statements involve inherent known and unknown risks, uncertainties and contingencies because they relate to events and depend on circumstances that may or may not occur in the future and may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements. Many of these risks and uncertainties relate to factors that are beyond the Company's ability to control or estimate precisely, such as commodity prices, future market conditions, currency fluctuations, the behavior of other market participants, the actions of regulators, the Company's ability to continue to obtain financing to meet its liquidity needs and service its debt payment obligations, dividend and share repurchase sustainability, the Company’s ability to successfully integrate acquisitions, future dispositions, failures or delays in achieving expected reserves or production levels from existing and future oil and natural gas developments, including due to operating hazards, drilling risks, or the inherent uncertainties in predicting reserves and reservoir performance, and changes in the political, social and regulatory framework in which the Company operates or in economic or technological trends or conditions. The list above is not exhaustive and there are other factors that may cause the Company's actual results to differ materially from the forward-looking statements contained in this Presentation, including the risk factors described in the “Risk Factors” section in the Company’s Annual Report and Form 10-K for the year ended December 31, 2025, filed with the United States Securities and Exchange Commission (the “SEC”) and in subsequent filings with the SEC. Forward-looking statements speak only as of the date they are made, and the Company and each of its respective directors, officers, employees, agents, affiliates or advisers expressly disclaim any obligation to supplement, amend, update or revise any of the forward-looking statements made herein, unless required to do so under applicable law. In light of these risks, uncertainties and assumptions, the events described in the forward-looking statements in this Presentation may not occur. As a result, you are cautioned not to place undue reliance on such forward- looking statements. Past performance of the Company cannot be relied on as a guide to future performance. No statement in this Presentation is intended as a profit forecast or a profit estimate and no statement in this Presentation should be interpreted to mean that the financial performance of the Company for the current or future financial years would necessarily match or exceed the historical results published for the Company. This Presentation should not be considered as the giving of investment advice by the Company or any of its shareholders, directors, officers, agents, employees or advisers. The distribution of this Presentation in or to persons subject to other jurisdictions may be restricted by law and persons into whose possession this Presentation comes should inform themselves about, and observe, any such restrictions. Any failure to comply with such restrictions may constitute a violation of the laws of the relevant jurisdiction. Certain key operating metrics that are not defined under GAAP (alternative performance measures) are included in this Presentation. These non-GAAP measures are used by us to monitor the underlying business performance of the Company from period to period and to facilitate comparison with our peers. Since not all companies calculate these or other non-GAAP metrics in the same way, the manner in which we have chosen to calculate the non-GAAP metrics presented herein may not be comparable with similarly defined terms used by other companies. The non-GAAP metrics should not be considered in isolation of, or viewed as substitutes for, the financial information prepared in accordance with GAAP. Certain of the key operating metrics set forth in this Presentation are based on information derived from our regularly maintained records and accounting and operating systems. Any non-GAAP measures included herein will be accompanied by a reconciliation to the nearest corresponding GAAP measure within this presentation. For forward-looking non-GAAP measures, we are unable to provide a reconciliation to the most comparable GAAP financial measure because the information needed to reconcile these measures is dependent on future events, many of which are outside management's control. Additionally, estimating such GAAP measures and providing a meaningful reconciliation consistent with our accounting policies for future periods is extremely difficult and requires a level of precision that is unavailable for these future periods and cannot be accomplished without unreasonable effort. Forward-looking non-GAAP measures are estimated consistent with the relevant definitions and assumptions. The financial information in this Presentation does not contain sufficient detail to allow a full understanding of the results of the Company. Please refer to the full results announcement for more detailed information. It is our intention that all of the information provided during this Presentation or in any follow-up discussion will either be publicly available information or, if not publicly available, information that we do not believe constitutes inside information or material non-public information about the Company. However, you are under an obligation to assess independently for yourself whether you are in possession of inside information or material non-public information, and when you cease to be in possession of inside information or material non-public information. Oil and Gas Reserves: The SEC permits oil and gas companies in their filings with the SEC to disclose only proved, probable and possible reserves. Additional information on the Company’s estimated proved reserves is contained in the Company’s filings with the SEC. Investors are urged to consider closely the oil and gas disclosures in our Form 10-K for the year ended December 31, 2025 and other reports and filings with the SEC, copies of which are available on the SEC and the Company's websites. Disclaimer, Forward-Looking Statements and Non-GAAP Measures 2
Page 3
PROVEN Our capital return priorities: Consistent success in 2026 Systematic Debt Reduction ~$313M of debt principal payments Enhances balance sheet strength and demonstrated path to reduce leverage Accretive Acquisitions ~$4B recently completed & announced M&A(b) Accretive growth engine with track record of financial discipline and integration excellence Fixed per-share Dividend ~$63M in dividend distributions(a) Sized to be sustainable within leverage target framework, ensuring consistent capital return Since IPO >$1.4B Debt Principal Payments >$8.5B Acquisitions Completed >$850M Dividends Paid 3 PROVEN Strategic Share Repurchases ~$94M value of shares repurchased(c) Opportunistic program during market dislocations bolsters shareholder returns >$320M Shares Repurchased
Page 4
PROVEN PROVEN Step change in Operating Scale & Cash Generation DEC to become top-15 U.S. publicly listed producer post-close 4 500 gross wells, with integrated infrastructure including 12 centralized production facilities, gathering pipelines and water disposal systems Turnkey acquisition of PDP assets bolstered by operational overlap with DEC’s TX assets (as of announcement) DEC Birch Pro-Forma Current Production (Mboepd/Bcfepd)(a) 208 / 1.25 68 / 0.41 276 / 1.66 ‘26 Adj. EBITDA / NTM Adj. EBITDA(b) $985M $548M $1,533M ‘26 Adj. FCF / NTM Adj. FCF(c) $440M $455M $895M Reserves (Bcfe)(d) 6,270 1,168 7,438 Liquids Weighting 29% 70% 39% Anchor position in the Midland Basin, with advantaged cost structure and opportunity for additional bolt-on acquisitions Pro-Forma Increases ~35% Production(a) ~55% Adj. EBITDA(b) ~103% Adj. Free Cash Flow(c)
Page 5
PROVEN PROVEN $3,336 $2,768 $1,480 $964 $895 $523 $440 $392 -$73 -$266 -$684 $6,494 $5,926 $2,709 $1,788 1,533 $1,266 $1,166 $985 $936 $558 $451 Pro Forma Growth Facilitates Valuation Re-Rate Opportunity Adj. EBITDA(a) Adj. FCF(b) Peer 2Peer 1 Peer 4 Peer 5 Peer 6 Peer 7 Peer 8Peer 3 Peer 9 Peer 2Peer 1 Peer 4 Peer 5 Peer 7 Peer 9 Peer 8Peer 3 Peer 6 EV / EBITDA 6.1x 4.3x 5.3x 5.7x Re-Rate Opportunity 6.2x 6.1x 3.9x 4.2x 5.8x 3.1x 5 + +55% +103% Step Change in Operating Scale, Cash Generation, and Market Positioning + 1,390 1,403 1,250 1,099 1,010 697 636 429 414 332 280 279 276 215 161 421 396 221 $68.29 $86.16 $24.56 $39.36 $68.42 $16.45 $23.58 $20.32 $23.82 $10.72 $7.58 $9.14 $5.76 $3.72 $3.55 $15.83 $11.05 $11.65 ‘26e Production (Mboe/d)(c) Enterprise Value (d) 5.1x 5.0x 4.3x 6.5x 5.1x 5.4x 4.4x 3.2x 4.6x 3.7x 6.0x 2.9x 3.9x 4.3x 5.0x 3.3x 6.7x 3.8x EV/EBITDA(e)US Publicly Listed Upstream Producers
Page 6
PROVEN PROVEN “Smarter Asset Management” Delivering Continued Efficiencies 6 Reduced Chemical Suppliers from 5 to 3 • Competitive process produced an expected ~$2.5M of annualized savings Right-Sized Compression Assets • Optimizing compression assets and suppliers expected to produce ~$2M of annualized savings Eliminating 3rd Party Water Hauling • Connected into existing owned infrastructure, cutting water hauling expense 58% • ~$22K capital spend resulting in ~$100K annual savings with <3-month payback Oklahoma and East Texas Cost Savings Realized While Maintaining Production • Canvas and Camino: allocating existing DEC operators reducing overall support to those assets by 17% • Sheridan: allocating existing DEC operators reducing overall support to those assets by 44% 2026 Mid-Con Program • Operating 3 workover rigs in Mid-Con • ~6,700 BOED restored in YTD 2026 from 263 jobs • Avg payback of <4.5 months Mid-Con Supply Chain Optimization Permian Piped Water Project Operational Synergy Capture Focused Workover Program Disciplined “Smarter Asset Management” Driving Cash Flow, Cost Reduction, and Synergy Capture
Page 7
PROVEN Delivering exceptional performance and growth 3Q26 Financial & Operating Highlights Converting Commodity to Cash 3Q 2026 TTM Production Mmcfe/d 1,189 1,209 Commodity Revenue Millions $470 $1,962 Adj. EBITDA(b) Millions $256 $1,036 Adj. Free Cash Flow(c) Millions $153 $557 Q3 Average Production of 1,189 MMcfe/d • Slated to become top-15 U.S. publicly listed upstream producer • Maintained industry-leading consolidated production decline Total Commodity Revenue of $470 Million • Total Revenue per Unit of $4.36/Mcfe(a) Adjusted EBITDA of $256 Million(b) • 56% Adj. EBITDA margin consistent with strong track record of cash generation(b) Generated $153 Million of Adjusted Free Cash Flow(c) • Operating Cash Flow of $136 Million • Portfolio optimization delivered $24 Million in cash proceeds Continued Financial Strength • $506 Million of Liquidity as of September 30, 2026 • Agreement to upsize borrowing base to $1 billion(d) • 72% of outstanding debt in deleveraging non-recourse ABS and amortizing notes 7 PROVEN
Page 8
PROVEN PROVEN 2026 Guidance Range(a) LOW HIGH Total Production (Mmcfe/d) 1,180 1,210 % Liquids / % Natural Gas 29% / 71% Adj. EBITDA(b) $960M $1,010M Total Capital Expenditures $225M $255M Operated Development Capital Expenditures $35M $50M Non-Op Capital Expenditures $115M $125M Maintenance Capital Expenditures $75M $80M Adj. Free Cash Flow(c) ~$440M Income from equity affiliates(d) ~$15M Leverage Target 2.0x 2.5x Reiterating 2026 Outlook Prioritizing free cash flow with the flexibility to allocate across the highest return and best uses of capital to create long-term shareholder value 8
Page 9
PROVEN Proven Platform for “The Next 25” 9 PROVEN Operating From the Strongest Fiscal Position in Company History: Scaled, stable, core production base generates durable cash flow, allowing for flexible capital allocation with the opportunity, but not the mandate, for organic low-risk growth from a deep inventory of high-rate-of-return undeveloped locations Diversified, Vertically Integrated, Four-Basin Operating Model: Built for Resilience Appalachia Oklahoma (Mid-Con) Permian East Texas / Louisiana Technology-forward operating platform designed to acquire and integrate accretive, cash generating energy assets Relatively flat producing assets generating durable cash flow through the cycle Cash Flow Oriented Base Business Consistent hedging and returns-first approach to capital allocation. Scale and vertical integration deliver meaningful economies of scale Risk-Managed & Cost-Disciplined Meaningful, high-confidence development opportunities within existing operating footprint, delivering cash flow growth from organic investment Reinvestment for Low-Risk Growth Built to Consolidate
Page 10
PROVEN Appendix
Page 11
PROVEN PROVEN Summary of footnotes (page 1) 11 PROVEN a) Includes dividends paid and declared during the calendar year 2026. Future dividends are subject to Board approval. b)Value of completed acquisitions based on the previously announced gross valuation, includes the Canvas Energy, Sheridan, Camino, an d Birch acquisitions closed or announced in 2025 & 2026. c) Share repurchases include the value of shares repurchased through Diversified announced Share Repurchase Program and the value of shares purchased by Diversified’s Employee Benefit Trust (the “EBT”) through November 4, 2026. Slide 3: Our capital return priorities … a) Current Diversified production based on average daily production for Q2 2026 and estimated production for Birch as of July 2026. b)Diversified 2026 guidance midpoint used for DEC Adj. EBITDA. Next 12 months Adj. EBITDA inclusive of G&A and Hedges, calculated using strip pricing as of 08/17/2026 for Birch. Please see “Adjusted EBITDA” below for the definition of Adjusted EBITDA and important information regarding its calculation and use. c) Diversified 2026 guidance midpoint used for DEC Adj. Free Cash Flow. Next 12 months Free Cash Flow inclusive of expected ABS interest, calculated using strip pricing as of 08/17/2026 for Birch. Adjusted Free Cash Flow is a non-GAAP metric, which includes proceeds from land divestitures. Please see “Adjusted Free Cash Flow” below for the definition of Adjusted Free Cash Flow and important information regarding its calculation and use. d)DEC reserves stated on SEC basis as of 6/30/2026. Birch PDP reserves values (including volumes, PV-10 and approximate PV value) calculated using historical production data, asset-specific type curves and an effective date of July 1, 2026, and based on the NYMEX strip on August 17, 2026, with terminal price assumptions of $3.50/MMBtu and $65.00/Bbl for natural gas and oil, respectively. Slide 4: Step change in operating scale… Source: Factset, DEC 2026 company guidance, Stephens Comp Tables 9/25/2026. 2026 estimates used for Peers in EBITDA & FCF graphs which inclu de AR, BKV, CNX, CRK, EQT, EXE, GPOR, INR, RRC. a) Diversified 2026 guidance midpoint used for DEC Adj. EBITDA. Next 12 months Adj. EBITDA inclusive of G&A and Hedges, calculat ed using strip pricing as of 08/17/2026 for Birch. Please see “Adjusted EBITDA” below for the definition of Adjusted EBITDA and important information regarding its calculation and use. b)Diversified 2026 guidance midpoint used for DEC Adj. Free Cash Flow. Next 12 months Free Cash Flow inclusive of expected ABS interest, calculated using strip pricing as of 08/17/2026 for Birch. Adjusted Free Cash Flow is a non-GAAP metric, which includes proceeds from land divestitures. Please see “Adjusted Free Cash Flow” below for the definition of Adjusted Free Cash Flow and important information regarding its calculation and use. c) Current Diversified production based on average daily production for Q2 2026 and estimated production for Birch as of July 20 26. Competitor production based off Stephens estimates and Factset Consensus. d)Source: Factset. Enterprise Value calculated as of 10/23/2026 e) Source: Factset. Enterprise Value / EBITDA multiples calculated as of 10/23/2026 using consensus estimates for 2026e EBITDA Slide 5: Pro Forma Growth…
Page 12
PROVEN PROVEN Summary of footnotes (page 2) 12 PROVEN a) Includes an estimate of cash proceeds for FY 2026 asset optimization of ~$150 million, based on July 2026 strip prices. Excludes changes in cash from working capital . b)Adjusted EBITDA is a non-GAAP metric, which represents earnings before interest, taxes, depreciation, and amortization. Reconciliation and full definition is provided in the appendix of this presentation. c) Adjusted Free Cash Flow is a non-GAAP metric, which includes proceeds from land divestitures. Reconciliation and full definition is provided in the appendix of this presentation. d)Income from equity affiliates included in Adjusted EBITDA and Adjusted Free Cash Flow consists of ( i) distributions received from the operations of the Company's equity affiliates and (ii) management fees earned by the Company for services provided in its capacity as manager of the equity affiliates. Distributions received from equity affiliates are reflected in the Condensed Consolidated Statements of Cash Flows, while management fees are reflected as a reduction of general and administrative expense in the Condensed Consolidated Statements of Comprehensive Income (Loss). Further information is provided in our 10-Q. Slide 8: Reiterating 2026 outlook a) Total revenue and proceeds from divestitures related to asset optimization, excluding Next Level Energy revenue. b) Adjusted EBITDA is a non-GAAP metric, which represents earnings before interest, taxes, depreciation, and amortization. Reconciliation and full definition is provided in the appendix of this presentation. c) Adjusted Free Cash Flow represents net cash provided by operating activities excluding changes in cash from working capital less expenditures on natural gas and oil properties and equipment, and includes proceeds from divestitures related to asset optimization; For more information, please refer to the Non-GAAP reconciliations as set out below. d)Diversified received approval from its bank group to upsize its credit facility from $900 million to $1 billion subsequent to the end of the third quarter. Slide 7: Delivering exceptional performance and growth
Page 13
PROVEN PROVEN AppendixAdjusted EBITDA 13 PROVEN 1) Excludes $0.4M, $0.2M and $1M in dividend distributions received for our investment in DP Lion Equity Holdco during the three months ended September 30, 2025 and the nine months ended September 30, 2026 and September 30, 2025, respectively. 2) Includes $24M, $74M, $149M and $144M in cash proceeds received for leasehold sales during the three months ended September 30, 2026 and September 30, 2025 and the nine months ended September 30, 2026 and September 30, 2025, respectively. 3) Includes $7M in residual operating cash flow received for our investment in DP Eagle during the three and nine months ended September 30, 2026. 4) Other adjusting costs for the three months ended September 30, 2026 and September 30, 2025 and the nine months ended September 30, 2026 and September 30, 2025 were primarily associated with one-time personnel-related expenses, asset integration, and legal fees from certain litigation. 5) Pro forma TTM adjusted EBITDA includes adjustments for the respective periods to pro forma results for the full twelve-month impact of intra-period acquisitions and divestitures (September 30, 2026: Camino, Canvas, Sheridan, Barnett, and the divestiture of other various property, plant, and equipment; September 30, 2025: Maverick, Summit, and East Texas II). Adjusted EBITDA As used herein, EBITDA represents earnings before interest, taxes, depletion, depreciation and amortization. Adjusted EBITDA includes adjustments for items that are not comparable period-over- period, namely, interest expense, accretion of asset retirement obligation, other (income) expense, (gain) loss on fair value adjustments of unsettled financial instruments, (gain) loss on natural gas and oil property and equipment, costs associated with acquisitions, other adjusting costs, loss on early retirement of debt, non-cash equity compensation, (income) loss from equity affiliate, (gain) loss on interest rate swaps, and items of a similar nature. Adjusted EBITDA should not be considered in isolation or as a substitute for operating profit or loss, net income or loss, or cash flows provided by operating, investing and financing activities. However, we believe such measure is useful to an investor in evaluating our financial performance because it (1) is widely used by investors in the natural gas and oil industry as an indicator of underlying business performance; (2) helps investors to more meaningfully evaluate and compare the results of our operations from period to period by removing the often-volatile revenue impact of changes in the fair value of derivative instruments prior to settlement; (3) is used in the calculation of a key metric in one of our Credit Facility financial covenants; and (4) is used by us as a performance measure in determining executive compensation. When evaluating this measure, we believe investors also commonly find it useful to evaluate this metric as a percentage of our total revenue, inclusive of settled hedges, producing what we refer to as our adjusted EBITDA margin. Three Months Ended Trailing 12 Months (In thousands) September 30, 2026 September 30, 2025 December 31, 2025 September 30, 2026 Net income (loss) (202,214) 171,252 195,552 80,278 Interest expense 61,128 56,043 55,082 240,933 Accretion of asset retirement obligations 13,371 10,443 19,182 59,282 Other (income) expense(1) (126) (519) (993) (2,157) Income tax (benefit) expense (132,069) (45,485) 1,471 (143,663) Depreciation, depletion and amortization 105,122 91,116 154,076 471,203 (Gain) loss on bargain purchases - - - - (Gain) loss on fair value adjustments of unsettled derivatives 348,341 (69,508) (201,964) 191,868 (Gain) loss on natural gas and oil properties and equipment(2) 6,015 59,790 21,273 18,732 (Gain) loss on sale of equity interest - - - - (Income) loss from equity affiliate(3) 43,838 - - 43,838 Impairment of proved properties - - - - Costs associated with acquisitions 4,543 4,129 3,629 18,694 Other adjusting costs(4) 1,794 4,969 3,636 15,383 Loss on early retirement of debt 761 - - 24,643 Non-cash stock-based compensation 5,060 2,984 3,037 17,477 (Gain) loss on foreign currency derivative - - - - (Gain) loss on interest rate swaps (18) (35) (30) (85) Total adjustments 457,760 113,927 58,399 956,148 Adjusted EBITDA 255,546 285,179 253,951 1,036,426 Pro-Forma TTM adjusted EBITDA(5) 1,117,462 1,019,234 1,211,214 1,117,462
Page 14
PROVEN PROVEN Free Cash Flow & Net Debt 1) Includes adjustments for deferred financing costs and original issue discounts, consistent with presentation on the balance sheet. 2) Acquisition deposits represent cash funded in advance of acquisition closings and held on deposit pending completion of the respective transactions. 3) Pro forma TTM adjusted EBITDA includes adjustments for the respective periods to pro forma results for the full twelve-month impact of intra-period acquisitions and divestitures (September 30, 2026: Camino, Canvas, Sheridan, Barnett, and the divestiture of other various property, plant, and equipment; September 30, 2025: Maverick, Summit, and East Texas II). 14 Definition: Net Debt and Net Debt-to-Adjusted EBITDA As used herein, net debt represents total debt as recognized on the balance sheet less cash, restricted cash, and acquisition deposits. Total debt includes our borrowings under the Credit Facility, borrowings under or issuances of, as applicable, our subsidiaries’ securitization facilities, and other borrowings. We believe net debt is a useful indicator of our leverage and capital structure. As used herein, net debt-to-adjusted EBITDA, or “leverage” or “leverage ratio,” is measured as net debt divided by pro forma TTM adjusted EBITDA. We believe that this metric is a key measure of our financial liquidity and flexibility and is used in the calculation of a key metric in one of our Credit Facility financial covenants. As of (In thousands) September 30, 2026 September 30, 2025 December 31, 2025 Total debt(1) $3,102,588 $2,611,863 $2,952,014 LESS: Cash $5,794 $43,102 $29,697 LESS: Restricted cash $72,405 $103,673 $115,413 LESS: Acquisition deposits(2) $50,000 $0 $0 Net debt $2,974,389 $2,465,088 $2,806,904 Pro forma TTM adjusted EBITDA (3) $1,117,462 $1,019,234 $1,211,214 Net debt-to-pro forma TTM adjusted EBITDA(3) 2.66x 2.42x 2.32x Definition: Free Cash flow As used herein, free cash flow represents net cash provided by operating activities (“operating cash flow”), less expenditures on natural gas and oil properties and equipment and adjusted free cash flow represents free cash flow after adjusting for proceeds from divestitures related to asset optimization and excluding changes in cash from working capital. We believe that free cash flow and adjusted free cash flow provide investors with an important perspective on the cash available to service debt obligations, make strategic acquisitions and investments, and pay dividends. Three Months Ended Trailing 12 Months Year To Date Year Ended September 30, 2026 September 30, 2025 September 30, 2026 September 30, 2026 September 30, 2025 December 31, 2025 Operating cash flow $135,789 $ 117,241 $575,545 $393,305 $ 282,379 $ 464,619 LESS: Capital expenditures -39,282 -48,231 -184,774 -137,674 -137,500 -184,600 Free cash flow $96,507 $69,010 $390,771 $255,631 $144,879 $280,019 ADD: Proceeds from divestitures 23,617 74,006 165,675 149,208 143,631 160,098 Changes in working capital 32,606 31,034 232 22,045 77,456 55,642 Adjusted FCF $152,730 $174,050 $556,678 $426,884 $365,966 $495,759
Page 15
PROVEN PROVEN AppendixTotal Revenue & Adjusted EBITDA Margin 15 PROVEN Total Revenue, Excluding (Gain) Loss on Fair Value Adjustments of Unsettled Derivatives & Adjusted EBITDA Margin As used herein, total revenue, excluding (gain) loss on fair value adjustments of unsettled derivatives, represents total revenue less (gain) loss on fair value adjustments of unsettled derivatives. We believe that total revenue, excluding (gain) loss on fair value adjustments of unsettled derivatives, is useful because it enables investors to discern our realized revenue after adjusting for derivative settlements. As used herein, adjusted EBITDA margin is measured as adjusted EBITDA, as a percentage of total revenue, excluding (gain) loss on fair value adjustments of unsettled derivatives. Adjusted EBITDA margin encompasses the direct operating costs and the portion of general and administrative costs required to produce each Mcfe. This metric includes operating expense, employee costs, administrative costs and professional services, and recurring allowance for credit losses, which cover both fixed and variable cost components. We believe that adjusted EBITDA margin is a useful measure of our profitability and efficiency, as well as our earnings quality, because it evaluates the Company on a more comparable basis period-over-period, especially given our frequent involvement in transactions that are not comparable between periods. The following table presents a reconciliation of the GAAP financial measure of total commodity revenue to the non-GAAP measure of total revenue, excluding (gain) loss on fair value adjustments of unsettled derivatives, and a calculation of adjusted EBITDA margin for each of the periods listed: Three Months Ended Year To Date (in thousands) September 30, 2026 September 30, 2025 September 30, 2026 September 30, 2025 Total commodity revenue $469,575 $ 372,758 $1,529,482 $1,096,945 Gain (loss) on derivatives -378,369 111,048 -635,718 -4,165 Other revenue 17,306 15,964 53,800 56,202 Total revenue $108,512 $499,770 $947,564 $1,148,982 (Gain) loss on fair value adjustments of unsettled derivatives 348,341 -69,508 393,832 8,121 Total revenue, excluding (gain) loss on fair value adjustments of unsettled derivatives $456,853 $430,262 $1,341,396 $1,157,103 Adjusted EBITDA $255,546 $285,179 $782,473 $701,770 Adjusted EBITDA margin 56% 66% 58% 61%
Page 16
PROVEN 1600 Corporate Drive Birmingham, Alabama 35238-1087 (USA) div.energy Corporate Senior Vice President Investor Relations & Corporate Communications Douglas Kris dkris@dgoc.com +1 973 856 2757 Director Investor Relations Kevin O’Brien kpobrien@dgoc.com +1 412 403 7085